Granite Ridge Resources : November 2023 Investor Presentation

GRANITE RIDGE RESOURCES

I N V E S T O R P R E S E N T A T I O N | N O V E M B E R 2 0 2 3

Key Investment Highlights

Non-Op - A Better Way to Invest in Oil & Gas

• Decreased risk - participate with a smaller piece of a larger number of wells
• Asset diversity - own an interest in over 2,500 gross wells across Permian, Eagle Ford, Haynesville, DJ and Bakken
• Accelerated development - high-quality near- 1 term drilling rather than long-dated inventory

Conservative Balance Sheet	3
• Conservative leverage - 0.26x net debt to TTM

Adjusted EBITDAX at 9/30/2023

• Control of capital - elect to participate in drilling on a well-by-well basis

• Limited liabilities - not burdened by long-term contracts and drilling obligations common to operators

• Prepared for volatility - not forced to hedge at low

prices, allows for counter-cyclical investment opportunities

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4

Access to Private Operators

• Broaden exposure - significant high-quality inventory is in the hands of private operators, particularly in the Permian
• Blue chip partners - anticipate 2023 new wells turned to sales from private operators including Admiral, Endeavor, Greenlake, Silver Hill, Mewbourne, and Rosewood

Total Shareholder Returns

• Capital returns
• • Fixed dividend - annualized $0.44/share 1
  • Stock buybacks - $50MM repurchase plan
• Responsible Growth
• • Active operators - 18% production growth 2
  • Highly scalable - cost structure largely fixed; growth has minimal impact on overhead
  • Not "flooding the market" - increase in GRNT production does not necessarily grow U.S. production, just our share of it

Granite Ridge seeks to tighten the band of outcomes in oil & gas investing through high diversification,

low leverage and disciplined investment underwriting

1.	Future dividends are subject to approval by the Granite Ridge board of directors and credit agreement restrictions.				2
2.	At midpoint of guidance.

Overview		Assets		Strategy & Execution		Appendix

3Q '23 Highlights

• Paid dividend of $15MM
• Initiated $50MM stock buyback in 4Q2022 and repurchased 868,726 shares ($6.3MM) in 3Q '23
• $83MM of 3Q '23 Adjusted
  EBITDAX 1
• 20% production growth 3Q
  '23 over 3Q '22
• 3Q '23 - 77 gross (8.58 net) wells turned to sales
• TTM - 322 gross (26.23) net wells turned to sales
• Closed $8MM of Proved Property Acquisition and $12MM of Inventory Acquisition 2 and deployed $95MM of total capital

	3Q2023	TTM
Production
Avg Daily Production (Boe/d)	26,433	23,304
% Oil	46%	48%
Gross / Net Wells Turned to Sales	77 / 8.58	322 / 26.23
Cash Flow & Income ($MM)
Total Revenue (Excl. Hedges)	$108.4	$403.6
Adjusted EBITDAX 1	$83.2	$306.8
D&C Capex	$75.7	$314.7
Inventory Acquisition 2	$11.9	$37.3
Unit Costs ($/Boe)
Lease Operating Expense	$6.96	$7.00
Production & Ad Val Taxes	$3.20	$3.49
Balance Sheet and Liquidity ($MM) as of 9/30/23
Cash & Cash Equivalents		$6
Total Debt		$85
Net Debt 1		$79
Liquidity 3		$161

1. Non-GAAPfinancial measure, which is defined and reconciled in the Appendix.
2. Includes costs to acquire additional development opportunities and undeveloped acreage acquisitions.
3. Proforma for fall bank redetermination.

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OverviewAssetsStrategy & ExecutionAppendix

Strong Liquidity & Conservative Balance Sheet

Key Company Statistics	As of
($MM, except per share data)	11/8/23
Ticker	GRNT
Share Price	$6.08
Fully Diluted Market Cap	$820
Enterprise Value (9/30/23 Debt & Cash) 1	$899
TTM Adjusted EBITDAX (Q4'22-Q3'23)2	$307
Q3 '23 Adjusted EBITDAX 2	$83
EV / TTM Adjusted EBITDAX 2	2.9x
EV / Q3 '23 Adjusted EBITDAX 2 Annualized	2.7x
Annualized Current Dividend per Share 3	$0.44
Implied Dividend Yield	7.2%

Capitalization	As of
($MM)	9/30/23
Cash	$6
RBL Balance ($275MM Borrowing Base 6)	$85
Total Debt	$85
Total Net Debt 2 / (Cash)	$79
Net Debt 2 to / TTM Adjusted EBITDAX 2	0.26x
Elected RBL Commitment 6	$240
Less: Borrowings & LOC	($85)
Plus: Cash	$6
Total Liquidity 6	$161

Net Acres (36,661) 4

Q3 '23 Production (26,433 Boe/d)

Average Working Interest 5

Eagle Ford 17%

Eagle Ford 11%

Permian, 9.0%

Permian 29%

DJ, 1.8%

Haynesville 6%

Haynesville 22%

Permian 48%

Bakken, 3.9%

DJ 6%

Haynesville, 13.9%

Bakken 10% DJ 9%

Eagle Ford, 15.2%

Bakken 41%

YE 2022 SEC PV-10 ($1,559 MM) 2

Average 8/8ths Net Royalty Interest 5

Eagle Ford 16%

Permian, 75.4%

Haynesville 10%

DJ, 78.8%

Permian

Bakken, 80.3%

Haynesville, 94.9%

Bakken 10%

57%

Eagle Ford, 75.4%

DJ 7%

1. Enterprise Value is calculated as the sum of total market capitalization as of 11/8/2023 and net debt as of 9/30/2023. Net debt is a non-GAAP financial measure. Please see the Appendix for a reconciliation to the nearest GAAP measure.
2. Non-GAAPfinancial measure. Please see the Appendix for a reconciliation to the nearest GAAP measure.
3. Based on last three dividends paid to date.

4.	As of 9/30/2023.	4
5.	Average Working Interest and Net Royalty Interest charts reflect a straight average of all wells included within our SEC Reserves Report as of 12/31/22.
6.	Proforma for fall bank redetermination.

OverviewAssetsStrategy & Execution

Scaled, Diversified Asset Base

Appendix

DJ: 7% of PV-101

• LTM Spuds 2: 69
• # of Wells in Process 3: 53
• Net acreage 4,5: 2,086
• PV-101: $104MM
• Active Rigs 6: 14

Bakken: 10% of PV-101

• LTM Spuds 2: 35
• # of Wells in Process 3: 23
• Net acreage 4,5: 15,030
• PV-101: $155MM
• Active Rigs 6: 33

Permian: 57% of PV-101

• LTM Spuds 2: 128
• # of Wells in Process 3: 101
• Net acreage 4,5: 10,806
• PV-101: $894MM
• Active Rigs 6: 312

Eagle Ford: 16% of PV-101

• LTM Spuds 2: 21
• # of Wells in Process 3: 11
• Net acreage 4,5: 6,365
• PV-101: $250MM
• Active Rigs 6: 49

Haynesville: 10% of PV-101

• LTM Spuds 2: 12
• # of Wells in Process 3: 8
• Net acreage 4,5 : 2,374
• PV-101: $157MM
• Active Rigs 6: 39

Outlined counties contain assets or acreage screened and/or evaluated by Granite Ridge

1. Based on 12/31/2022 SEC reserves. PV-10 is a Non-GAAP financial measure, which is defined and reconciled in the Appendix.
2. Gross spuds 7/1/2022 to 9/30/2023.
3. Defined as gross wells spud, but not producing as of 9/30/23.
4. As of 9/30/2023.
5. Excludes shallow zone acreage.
6. As of 9/29/2023. Source: Baker Hughes

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OverviewAssetsStrategy & ExecutionAppendix

Highly Diversified Upstream Portfolio

Basin

Operator Sample

% Private 1

Oil 2

Gas 2

Permian

27%

60%

40%

DJ

1%

33%

67%

Bakken

31%

76%

24%

Eagle Ford

80%

58%

42%

Haynesville

51%

0%

100%

Total	36%	50%	50%
Company

1. Based on current production.
2. Based on 12/31/2022 SEC net reserves.

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Overview		Assets		Strategy & Execution		Appendix

Benefits of Non-Op

Granite Ridge increases asset diversity and scales overhead by investing in a smaller piece

of a larger number of high-graded wells drilled by proven public and private operators

Access Entire Upstream Universe

The Granite Ridge "mousetrap" can quickly pivot to pursue high- quality near-term drilling inventory with the best risk adjusted returns across all basins and operators

Quick to Adapt

Non-op strategies avoid long-term contracts and quickly adapt to technological advances, hydrocarbon pricing, cost trends, basin expansions, new plays, etc.

Leveraging Technology and Partners - Highly Scalable

Rather than hire an ops team, we partner with the best operators in each basin and leverage our tech- enabled platform to manage significant asset growth with a minimal increase in overhead

Infinite Divisibility = Opportunistic Growth or Exit

Non-operated interests can be sold, promoted or purchased quickly allowing us to grow, lock-in returns or shed obligations to better align with our strategic objectives and stockholder returns

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OverviewAssetsStrategy & ExecutionAppendix

Capital Allocation Framework

Capital Allocation Strategy

Prioritize Highest Shareholder Returns

Sources

Cash Flow

• 0.5x
  Leverage

Uses

Annual

Dividend 1

Defend

Balance Sheet

Maintain

Production

Discretionary

Pursue "burgers & beer"

Responsible opportunities and strategic

Growthpartnerships where risk-adjusted returns exceed returns threshold

Consolidation	Evaluate accretive acquisitions
Opportunities

$50MM stock repurchase

Buybacks program announced in December 2022

Dividend	Consider increase of cash returns
Growth 1	to stockholders

Dividend structure provides strong cash returns with upside growth potential

1. Future dividends are subject to approval by the Granite Ridge Board of Directors and credit agreement restrictions.

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Overview		Assets		Strategy & Execution		Appendix

Opportunity Set Overview

GRNT Strategy

Format

Average

Investment

Average

Working Interest

Investment Type

	• Core growth engine to
		consolidate the
		fragmented non-op
Ground Game or		market	$2-6MM entry with		Leasing and short
•	Smaller, relationship driven	D&C capex of 2-3x	<5%	cycle, drill ready
"Burgers & Beer"
	deals that come from	entry		opportunities
		years of "boots on the
		ground" in our primary
		focus areas
	•	Concentrated
		investments with leading
Strategic		operators	$20-100MM for		Short cycle, drill
•	Asset-level partnerships	acquisition &	20-60%	ready
Partnerships
	that provide for more	development		opportunities
		control over drilling plans
		and development timing
	•	"Consolidating the
		consolidators"			Large PDP +
Acquisitions	•	Purchasing portfolios from	>$50MM	<2%	diversified
		private or PE-backed			operator inventory
		sellers

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Overview	Assets	Strategy & Execution	Appendix
Rigorous Deal Sourcing & Evaluation Process
01	02	03	04	05
Business Development	Deal Sourcing	Initial Screen On	Detailed Engineering Final Negotiations
		Basin, Size, Operator / Finance DD

Employ a boots-on-the-ground and all- hands-on-deck approach to deal sourcing

Screen an average of nine new deals each week

Very selective: closed ~4% of opportunities screened

1,364

Screened

Deal Funnel

2021 - 2023 YTD | Mixed Measures

1,079

Passed

77

No Offer

Permian accounts for ~65% of deal flow

Engineering, finance and land department collaboration paired with powerful, integrated data analytics results in holistic, systematic deal evaluation

	16	118
	Active Evaluations
		Lost
285		14
"Double Clicked"	192	Offers Outstanding
	Offers Issued	60
		Transactions Closed

GRNT's focus on full cycle returns results in a highly selective investment process

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